33
CHAPTER IV RESULTS
4.1 Questionnaire
The previous chapter discusses the methodology implemented to conduct this research project. This chapter will analyze the results of the first questionnaire dealing with
the knowledge of TQM within the contractors in Semarang.
4.2 The Respondents Profile 4.2.1 Response Rate
The questionnaires were sent to 6 companies in Semarang. Each company was given 5 questionnaires, hence a total 30 responses was expected. However, two
questionnaires were not returned, thus this research analyzes the data from 28 returned questionnaires. The table below shows the response rate in data collection for this research.
Table 4.1 Data collection response rate
Companies Number of
questionnaire sent
Number of questionnaire
returned Response rate
Waskita Karya 5
4 80
Pembangunan Perumahan 5
5 100
Wijaya Kusuma 5
5 100
Wijaya Karya 5
4 80
Hutama Karya 5
5 100
Adhi Karya 5
5 100
Total 30 28
93
4.2.2 The Positions of Respondents in Their Companies
This information is related with the number of respondents for each position in the company. Waskita Karya had two engineering manager and three engineering staff as
respondents in this study. In Wijaya Karya the respondents were two healthsafety environment manager, one HSE engineer and one commercial manager. The respondents
In W The
elect respo
and q mana
their super
11 was q
4.2.3
work expe
expe Wijaya Kusu
five respon trical, quali
ondents wer quality surv
agers and tw As can b
respective rvisors, adm
and qual quality cont
3 Responde
For the y king experie
rience in t rience of m
0.05 0.1
0.15 0.2
0.25 0.3
0.35 0.4
uma were on ndents in Ad
ity survey, re engineeri
vey respecti wo project m
be seen from companies
ministration lity survey
trol only 4
Figure 4.1
ent’s Years
years of exp ence in proj
this field, more than ten
36
ne project m dhi Karya h
quality co ing staff, si
ively. Finall managers.
m the figur . The positi
n staff and o 8. The
responden
The positio
of Experie
perience, mo ects 55
while the n years at 8
14
34
manager, one held the pos
ontrol and ite manager
ly for Hutam
re below, th
ion with the others with
position w nts occupyin
ons of respo
ence in Proj
ost of the re . 37 respo
smallest g level onl
14
e site mana ition as eng
other. In P r, supervisor
ma Karya t
he responde e largest res
14 respec ith the few
ng this posi
ondents in th
jects
espondents h ondents had
group in th y.
14
ger and thre gineering m
Pembangun r intendent,
the respond
ents held di spondents w
ctively, fol west respond
ition.
heir compan
had only les d between fi
his categor
8
ee civil sup manager, me
nan Peruma , electrical m
dents were th
ifferent pos was manage
llowed by en dents in thi
nies
ss than five ive and ten
ry was tho
4
ervisors. echanical
ahan the manager
hree site
itions in r 36,
ngineers s survey
years of years of
ose with
4.3 T
this r
years Perum
Wija
ears
The Years i
Figure 4 research hav
As can b s in operati
mahan, wit aya Kusuma
10 20
30 40
50 60
Pem Per
y ears
Figure 4
in Operatio
4.3 below sh ve been ope
Figure
be seen in f ion. The co
th 54 years a, with 36 ye
5 ‐10 years
37
54
bangunan rumahan
Wa
.2 Respond
on of the Si
hows the n erating.
4.3 Years i
figure 4.3 a ontractor wi
s of experie ears of oper
s 10
50
askita Karya H
35
dents years o
ix Contract
number of y
in operation
all contracto ith the long
ence, while rational reco
years 8
50
Hutama Karya
of experienc
tors
years that th
n of the six c
ors surveyed gest record
e the contra ord in its or
50
a Adhi
Karya
ce in project
he six contr
contractors
d in this stu of operatio
actor with
rganization.
5 years 55
49
a Wijaya
Ka
ts
ractors pres
udy have ha on is Pemb
least exper
36
rya Wijay
Kusum
sented in
ad many angunan
rience is
ya ma
36
4.4 Analysis of Questionnaire Result
The following tables are the results gathered from the questionnaire on the adoption and implementation of TQM by the contractors. The questionnaire consists of 34 questions
and is divided in six sections as follows: •
Knowledge of TQM •
Perception of quality •
Data acquisition method •
Quality in organization •
Training •
Others In most of cases the numbers used in these tables represent the number of
contractors who gave response to the questions, while in other cases they represent the
average and percentage.
4.5 Contractors Knowledge of TQM
In this section, five questions were asked to evaluate the knowledge of the contractors about TQM. The results are as follows:
4.5.1 Definition of Quality
The respondents were asked about the most important measure best used to define quality in their organization. The general results representing the respective companies are
shown in the table below.
Table 4.2 Definition of quality for the respective contractors
Companies Measure to define quality
Waskita Karya Team work
Pembangunan Perumahan Team work
Wijaya Kusuma Customer satisfaction
Wijaya Karya Expenses
Hutama Karya Customer satisfaction
Adhi Karya Customer satisfaction
37
The results in general show that three contractors put customer satisfaction as the best measure to define quality; two contractors chose team work, while one company
thought expenses as the most important measure. It can be drawn from these results that most contractors consider customer’s satisfaction as the best measure to define quality.
Any company needs to fulfill costumers’s needs by providing the best services and products for them. In the construction industry giving the best service for the
customers means providing good facilities that is satisfactory to the customers since they are the final users of the facility built by the contractor. If customers are satisfied with the
services provided, they are more likely to give recommendations to other people to use the service of the contractor. They are more likely also to use the same contractor again in the
future. Thus the company should look for enough information that can be used in their
decision making and change the business conducts in order to satisfy each of their customers. Also, by focusing on customer satisfaction the contractors can get a good
feedback and further evaluation to ensure that they are providing the quality of service that their customers expect them to provide.
4.5.2 How TQM Works in the Organization
The questionnaire asks respondents to choose from four criteria on how TQM works in their respective organization. The general results representing the respective
companies are shown in the table below.
Table 4.3
How TQM work in the organization for the respective contractors Companies
How TQM work in the organization Waskita Karya
To some extent. Pembangunan Perumahan
Very well Wijaya Kusuma
Very well Wijaya Karya
To some extent. Hutama Karya
To some extent. Adhi Karya
Very well
The results in general show that three contractors said that TQM works very well in their organization, while the other three contractors said that TQM works only to some
38
extent. All companies in this survey thought positively on how TQM works in their respective organization. They see that TQM implementation provide benefits in acheiving
objectives, helping on promoting teamwork, competing and improving the communication throughout the organization.
The companies saying that TQM works very well in their organization see that TQM implementation has given these companies a lot of profits and lead to good
productivity that help the staff improve quality. Other companies, however, think that TQM only works to some extent. In their case TQM works only in some particular area
i.e., in improving the processes the system that create products or services to a point that they are error free and yield minimal scrap or waste of resources; or in putting quality
control and quality assurance back in the line by empowering front line managers and workers, as it would really help the contructor for the project and increase the productivity
of the company.
4.5.3 Benefit of TQM Progam
Respondents were asked whether TQM program brings benefit to their respective organizations. The general results representing the respective companies are shown in the
table below.
Table 4.4 Benefit of TQM program for the respective contractors
Companies Does TQM benefit organization?
Waskita Karya Yes, because it improves customers satisfaction
Pembangunan Perumahon Yes, because TQM assures quality and product result.
Wijay Kusuma TQM program is beneficial to organization
Wijay Karya TQM program is beneficial organization
Hutama Karya Yes, because it can make employees more productive.
Adhi Karya Yes, TQM program is beneficial in organization
The results in general show that all contractors in this research agree that TQM is beneficial to their respective organizations. The majority mentions that TQM helps them
well organize the projects they have. In other case, TQM helps in making great program for customer’s satisfaction. TQM also makes any work easy and improve communication
between workers. TQM enables these contractors improve their quality in their projects.
39
Other benefits include the improvement in employee’s job satisfation and productivity as well as the increase in profits
4.5.4 Area in which TQM is Used to Improve
Respondents were asked to choose the area in their operation which can be improved using TQM. The following figure highlights the level of response from
individual respondents taken part in this research, irrespective of their companies, in relation with the area in which TQM is used in their companies.
Figure 4.4 Areas in which TQM program is used in the construction industry in
Semarang.
The results obtained from respondents show that most of them 50 said that TQM program is used to improve good planning in their companies. 35.7 said to
increase market share, 7.1 to reduce claims and only 3.6 respondents said that the TQM program is used to reduce lawsuits and change order respectively.
4.5.5 Awareness of Industry Program to Implement the TQM or the ISO 9000 Standard
Respondents were asked whether they are aware of the TQM program implementation or the ISO 9000 standard in their companies. The general results
representing the respective companies are shown in the table below.
50 35.70
7.10 3.60
3.60 10
20 30
40 50
60
Good planning
Increase market
Reduce clims Reduce change
order Reduce
lawsuits
40
Table 4.5 Awareness of TQM or ISO 9000 implementation for the respective contractors
Companies Awareness of TQM or ISO 9000 implementation
Waskita Karya The staffs are aware of TQM or ISO 9000. As the industry
becomes more competitive, quality is very important for any company.
Pembangunan Perumahan Most respondents are aware of TQM and ISO 9000 program as
the company itself has got certification. Wijaya Kusuma
All respondents are aware of TQM and ISO 9000 program. The company is also certified with ISO 2001
Wijaya Karya All respondents are aware of TQM and ISO 9000 program
used to improve quality. Hutama Karya
Most respondents are aware of TQM and ISO 9000 program. Adhi Karya
Most respondents are aware of TQM and ISO 9000 program.
The results in general show that the big majority of respondents working in the contractors in this research are aware of the program in their industry to implement TQM
and the ISO 9000. One contractor even have gone a step further with ISO 2001 certification. This results show that all companies agree that if they satisfy their
customers, the profits will increase in long run. The contractors have a view that TQM will improve costs and estimating and
warranty clients. They understand the potential benefits in implementing TQM or ISO 9000. As the construction industry has become more and more competitive and customers
are hard to get, the quality is very important for any company. Most contractors also think that both TQM and ISO 9000 are neccessary to use in their respective organizations
because they put the standard for these organization to become world class. ISO standard is seen as superior between the two as it offers a set of guidliness for
quality management, whereas TQM is mostly used to continue improvement processes, identifying the causes of quality problems and in elliminating them. With implementation
of both TQM and ISO in the organization it is hoped that all quality problems can be solved.
41
4.6 Contractor’s Perception of Quality
In this section, six questions were asked to evaluate the contractors’s perceptions of
quality. Results are as follows.
4.6.1 Organization’s Perception of Quality
Respondents were asked to choose one answer about their respective organization’s perception of quality. The general results representing the respective
companies are shown in the table below.
Table 4.6 Organization’s perception of quality for the respective contractors
Companies Organization’s perception of quality
Waskita Karya A competitive advantage
Pembangunan Perumahan A competitive advantage. The more competitive, the better Wijaya Kusuma
A competitive advantage Wijaya Karya
A competitive advantage
Hutama Karya A competitive advantage. With this advantage in quality the
company can get better profit for giving customers the best service and product.
Adhi Karya A competitive advantage
The results in general show that all contractors view a competitive advantage over the competitors as their respective organization’s perception of quality because of the role
of competitive advantage in representing good quality, strenght, resistance and safety. The Total Quality Management TQM philosophy of doing business emphasizes lowering
costs by reducing waste, helping suppliers provide quality products and satisfying the customer with quality goods and services. Contractors that can produce goods at lower
costs than their competitors, while delivering quality products that satisfy their customers, will have an advantage over those companies that do not duplicate those feats.
Implementing TQM can help a company gain a competitive advantage in their business. Implementing TQM can help a company gain a competitive advantage in their business.
Competitive advantages can make the company that have them a pioneer and leader in the industry. These in turn will enable the company to an increase in productivity which
eventually lead to increasing profits.
42
The following figure highlights the level of response from individual respondents taken part in this research, irrespective of their companies, in relation with the
organization’s perception of quality.
Figure 4.5 Organization’s perception of quality in the construction industry in Semarang.
The figure above shows that the big majority of respondents taking part in this research 82 viewed a competitive advantage as their organization’s perception of
quality, while elimination of defects and others had the lowest rate of perception with only 3.6 respondents viewed them as the criterion for quality respectively.
4.6.2 The Rate of Importance for Product and Service Quality
Respondents were asked to rate the importance of productservice quality. The general results representing the respective companies are shown in the table below.
Table 4.7 The rate of importance of productservice quality for the respective contractors
Companies Quality of productservice’s rate of importance
Waskita Karya Important, because the quality of product can get customers
trust and make the company more competitive Pembangunan Perumahan
Very important because good quality will increase customer satisfaction and make the company get recognition.
Wijaya Kusuma The quality of productservice is important
82
10.80 3.60
3.60 10
20 30
40 50
60 70
80 90
A competitive
Advantage A
tool to increase
profit Elimination
of Defects
Others
Com Wija
Huta Adhi
produ produ
they custo
provi servi
mana unde
to en deve
taken impo
Fig
mpanies aya Karya
ama Karya i Karya
The re uctservice
uctservice provide a
omers depe ide high qu
ice again in agers need
erstanding o nhance com
lopment pro The fol
n part in th ortance for p
gure 4.6 The
esults in g is ‘very
as ‘importa as ‘very im
nd on the q uality servic
n the future. a set of pr
of customers mmunication
oject .
llowing figu his research
productserv
e rate of im
I
Quality of The qualit
to improve Very impo
product’s The qualit
general sho important’,
ant’ only. M mportant’ b
quality of p ces for its
Thus more ractical step
s needs and n by focusi
ure highligh h, irrespecti
vice quality
mportance fo
Very Impotant
67
43
f productse ty of produ
e profits ortant, beca
quality ty of produc
w that mo , with onl
Most contra because the
productsser customers,
e potential p p-by-step to
d requireme ing on the
hts the level ive of their
y.
or productse in Semara
rvice’s rate uctservice i
ause custom
ctservice is
ost contrac ly two con
actors view ey realize
rvices they they will t
profits for th ools and m
ents, as wel voice of th
l of respons r companies
ervice quali ang.
Important 33
of importan is very imp
mer satisfact
s very impor
ctors say th ntractors ra
the quality that the sa
deliver. I trust the co
he company methods wh
ll as proced he custome
se from ind s, in relatio
ity in the co
t
nce ortant for c
tion depend
rtant
hat the qu ate the qu
y of produc atisfaction
If a contrac ompany and
y. To ensure hich ensure
dures and pr er within a
dividual resp on with the
onstruction i company
ds on the
uality of uality of
tservice of their
ctors can d use its
e quality a better
rocesses, product
pondents e rate of
industry
44
Two third 67 of respondents rated the quality of productservice as ‘very important’. The other 33 respondents rated the quality of productservice only as
‘important’.
4.6.3 The Customer Satisfaction’s Rate of importance
Respondents were asked to rate the importance of customer satisfaction for their organization. The general results representing the respective companies are shown in the
table below.
Table 4.8 The rating of customer satisfaction for the respective contractors
Companies Customer satisfaction rating
Waskita Karya Very important, because any company research about
satisfaction customer through continuous improve product and service for good quality
Pembangunan Perumahan Very important, because customer satisfaction is one of the
company’s success parameter, as the company become more famous and trusted.
Wijaya Kusuma Very important, as it can make the company become pioneer
in the market. Wijaya Karya
Customer satisfaction is very important for the company
Hutama Karya Very important, because the final objective of the company is
satisfied customer. Adhi Karya
Customer satisfaction is very important for the company
The results in general show that all of the contractors in this research rate customer satisfaction as very important. It is because they view that by delivering
customer satisfaction the company can be make more successe for product, service and good quality, morever the satisfation from employees is similar to the distrubution
products, the final good products is satisfafction customer.
45
4.6.4 Process Improvement Potential Rating
Respondents were asked to rate the improvement potential of nine processes in their company’s operations. The respondents can give from 5 point for the process with
very low potential to 1 point for the process with the highest potential for improvement in their respective organizations. The average results for each process irrespective of the
companies are shown in the figure below.
Figure 4.7 The potential for process improvement in the construction industry in
Semarang.
The results as shown in the figure above show that according to respondents of this research, the process with the highest rate of improvement potential is the testing
procedures at job sites with the average point of 2.0. On the other hand the process with.the lowest potential for improvement in their organization is the administration of change
orders process, with the average point of 3.3.
4.6.5 The Operational Variable Ranking in order of Importance
Respondents were asked to rank the five operational variables in their respective organizations according to their importance. The variable with the highest importance gets
10 points, the second one gets 8 points, the third one 6 points, the fourth 4 points and the fifth least important among other variables gets only two points. Results were then added
up according to the respective companies. The table below shows the collective ranking of these variables among the contractors surveyed in this research.
2.0 2.3
2.3 2.5
2.5 2.5
2.8 2.8
3.3
1.0 2.0
3.0 4.0
5.0 Testing
procedures at job sites On
‐site supervision Personnel
management on site office Certification
of material On
site safety coordination
with other members of a … Redesign
Close ‐out of projects
Administration of change orders
46
Table 4.9 Collective variable ranking in order of importance
As can be seen from the table above the contractors think ‘scope’ as the most important variable in their operation. Next in the order of importance are ‘quality’, ‘cost’
and ‘safety’, with ‘time schedule’ ranks at the bottom. These results show the priorities of the contractors in building their projects. Note that the contractors see ‘time schedule’ of
the project as the least important variable compared against the other fours.
4.6.6 The Level of Quality Goals Benchmark
Respondents were asked to benchmark the quality goals set by their companies. The general result for the respective contractors is shown below.
Table 4.10 Quality goals benchmark for the respective contractors
Companies Benchmark
Waskita Karya The leading company in the field set the benchmark for the
company Pembangunan Perumahan
The leading company in the field set the benchmark for the company because it can better the company
Wijaya Kusuma The competition in general set the benchmark
Wijaya Karya The competition in general set the benchmark
Hutama Karya The leading company in the field set the benchmark for the
company. Variable
Waskita Karya
Pembangunan Perumahan
Wijaya Kusuma
Wijaya Karya
Hutama Karya
Adhi Karya
Total Rank
Scope 28
32 22
34 32
48 196
1 Quality
20 28
44 36
34 28
190 2
Cost 30
34 26
20 40
36 186
3 Safety
28 44
34 18
26 24
174 4
Time schedule
10 12
24 12
18 14
90 5
Com Adhi
qua qua
is su cont
doin from
and
take goa
mpanies i Karya
The res lity goals to
lity goals to uccessful in
tractors wa ng so it is h
m customer develop the
The fol en part in t
ls benchma
Figure 4
sults in gen o the level
o the level o n the busin
ant to emul hoped that th
s. This is im eir compani
llowing figu this research
ark.
4.8 Quality
22
The competitio others
Benchmar The leadin
company
neral show of the lead
of the comp ness because
ate this suc hey can also
mportant be ies further i
ure highligh h, irrespect
goal benchm
7
on in general
47
rk ng compan
that the ma ding compan
petition in g e it has hig
ccess by se o stand out
ecause most in the future
hts the level tive of their
mark in the
7
The lea To level
s
ny in the fie
ajority of th ny in the fi
general. The gh quality s
etting their among the
t of these c e.
l of respons r companie
constructio
64
ading copany in y
set internally
eld set the
he compani ield, while
e leading co standard. Th
quality goa competitio
ontractors a
se from ind es, in relatio
on industry
your field
benchmark
ies are setti some only
ompany in hus the maj
als accordin on and earn
are seeking
dividual resp on with the
in Semaran k for the
ing their set their
the field jority of
ngly. By the trust
to grow
pondents e quality
ng.
48
The figure above shows that most respondents 64 said that their respective companies use ‘the leading company in the field’ as the benchmark for their quality goals.
22 said they use ‘the competition in general’ as benchmark, and only 7 chose either ‘a level set internally’ or ‘others’ as quality goals benchmark respectively.
4.7 The Contractors Data Acquisition Method